Solar Power Costs
The total cost of a fully installed PV system depends on a number of factors. System size plays the largest role in determining costs, but equipment brand and ease of installation will also impact the bottom line. In general, a typical system of 5kW (which can offset $125 per month of your electric bill) will cost between $5.00 - $6.00 per watt. However, once you factor in the rebates and tax credits, the cost drops down to approximately $1.50 - $2.50 per watt. Although this is a significant investment, don’t let the “sticker shock” scare you away. Compared to paying electric bills for the next 30+ years, it is one of the best investments you can make (please visit our Solar Payback and Financials page for details).
Sample Residential PV System – 5,640 Watts | |
| Total System Cost (parts and installation) | $31,020 |
| LIPA Rebate | - $14,100 |
| Net Cost after rebate: | $16,920 |
| State Tax Credit (25% system costs, $5,000 max.) |
- $4,230 |
| Federal Tax Credit (30% system costs, no maximum) |
- $5,076 |
| Federal Tax Increase (28% of State tax credit) |
+ $1,184 |
| Net Cost after tax credits: | $8,798 |
Getting a Solar Power System requires a significant investment, but don't let the price tag deter you. Over the long term, investing in solar will prove to be a sound financial investment. Please visit our Solar Payback and Financials page to learn how going solar pays off, regardless of the method used to finance the system.
Related Topics
Benefits of Solar Power | Solar Rebates and Incentives | How to Get Solar